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Working Capital Turnover Ratio of the firm is 0.94 against industry standard of 2. Do you think the firm is performing better in this area as compared to industry?

Answer» <html><body><p></p>Solution :No. The <a href="https://interviewquestions.tuteehub.com/tag/firm-989667" style="font-weight:bold;" target="_blank" title="Click to know more about FIRM">FIRM</a>'s performance in the area is not up to the <a href="https://interviewquestions.tuteehub.com/tag/mark-555248" style="font-weight:bold;" target="_blank" title="Click to know more about MARK">MARK</a>. It shows that Working Capital is not used efficiently. It is also <a href="https://interviewquestions.tuteehub.com/tag/indicated-7298716" style="font-weight:bold;" target="_blank" title="Click to know more about INDICATED">INDICATED</a> by high <a href="https://interviewquestions.tuteehub.com/tag/current-940804" style="font-weight:bold;" target="_blank" title="Click to know more about CURRENT">CURRENT</a> Ratio.</body></html>


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